EU gas prices face pressure – ING

European natural gas prices faced significant pressure yesterday, with TTF ending the day 6% lower, ING’s commodity analysts Warren Patterson and Ewa Manthey notes.

EU gas storage is a little over 40% full

"The US-Ukraine minerals deal contributed to downward pressures. German utilities are calling for storage target rules to be eased ahead of next winter. This would reduce demand for gas storage through the injection season."

"Utilities favor lowering the storage target for 1 November from 90% to 80%. In addition, storage levels have been falling at a slower pace in recent days amid milder weather conditions. EU gas storage is a little over 40% full, down from 64% at the same stage last year, and below the 5-year average of 51%."

"However, this 5-year average is inflated by the milder winters seen in 2022/23 and 2023/24, along with Covid impacts in 2020."